Source: Tom Brady signs three-year contract extension

Brady signed a three-year, $27 million contract extension through the 2017 season, according to a source. Brady will be 40 years old in the 2017 season.

Brady's deal is incredibly team-friendly and has created an extra $15 million in cap space. Interestingly, when the Patriots negotiate with their high-profile free agents, they consistently remind them that Brady took less money to help the team. Now, the Patriots can say he's done it twice.

As for the financials, Brady earned a $3 million signing bonus and base salaries of $7 million in 2015, $8 million in 2016 and $9 million in 2017. The remaining $60 million owed to Brady is fully guaranteed.

Brady's cap hit over his final five seasons is $13.8 million in 2013, $14.8 million in 2014, $13 million in 2015, $14 million in 2016 and $15 million in 2017.